As gold prices have given around 30% returns this year, we will likely witness a bout of profit-booking by hedge funds and ETFs in December, which might put pressure on the prices. But amid geopolitical worries, prices will stay above $2500 (~Rs 73000).
Weekly Blogs
Gold to feel exhaustion after posting strongest gains the past week
Gold and Silver saw safe-haven flows last week, and rising tensions between Russia and Ukraine caused renewed unease in the markets. I now anticipate impending buying exhaustion this week in precious metals.
Renewed geopolitical risks expected to overcast Trumponomics
Renewed geopolitical tensions will overcast the Trumponomics and precious metals prices will rebound again this week. Gold prices have made a short-term bottom now and are expected to rebound towards Rs 75000 and Rs 77000 and silver to Rs 92000 and Rs 95000.
Gold and Silver dumped as US Trumped
Gold and Silver were dumped by 2.5% and 4% last week respectively as several key events caused a lot of price volatility. US Election and announcement of Trump’s Victory, then US FED and BOE cutting interest rate by 25 bps.
Will Gold touch $2800 (~Rs 80000) before this Diwali?
Gold has been trading in the up-trend channel for the last year since $1850 (~Rs 56000). Immediate resistance in this channel is around $2800 (~Rs 80000), and support is around $2550 (~Rs 74000). The bullish view is intact as long as gold prices are in this up-trend channel.
Precious Metals rallies to record high amid US election jitters
Rising for the 23rd week in a row so far in 2024, the price of gold in US dollars has surpassed $2747 (~Rs 78200), up more than 3% from the previous week. While Silver gained 10% in only one week, reaching a high of about $34.32 (~Rs 98220).
Gold’s exponential runup continues towards $2700
Due to geopolitical concerns, the price of gold has continued to rise exponentially, reaching as high as $2700 this week. However, on Friday, prices began to decline again, as stronger-than-expected US employment data suggested that the labour market is still robust and that the Federal Reserve will probably soften policy by 25 basis points.
Prospects of rate cut and geopolitical tensions propels Gold to cross $2700
Gold accomplished a new all-time high this week of $2700 (Rs 76000), capping its third straight week of gains. Following gold’s recent climb, silver has surged as well. Its highest pricing since December 2012 was $33 (Rs 96400). Subsequently, the ratio of gold to silver dropped to 82, the lowest since mid-July.
Gold touches a new record high of $2656, what next?
Gold is maintaining strong bullish momentum and prices touched a new record high of $2656 (~Rs 75100) today, driven by a weakening U.S. dollar and the expectation of further rate cuts by the Federal Reserve.
Gold touches new record high of $2585
Gold prices reached a new historical high of $2585 (Rs 73500) due to a weaker dollar and increased expectations of a 50-bps rate cut by the Fed.
Gold in wait and see mode
Gold prices have fallen from recent record highs, as increasing yields and a stronger currency point to a less aggressive rate decrease by the Federal Reserve.
Gold escalated to new record highs above $2500, up 22% YTD
The present macroeconomic backdrop is creating a “perfect storm” for gold, making it one of the top-performing asset classes in 2024. Gold’s stratospheric journey to gleaming new heights has continued to accelerate this year, cementing its legendary status as the ‘must-have’ asset class in all portfolios.